chapter10

The Music Gladitator Manual

A must read for any artist or label wanting to succeed in the music industry

10 RECORDING AGREEMENTS
“So when he had assured them with many words that he would restore them without hurt, according to the
agreement, they let him go for the saving of their brethren”

There are no standard recording agreements. They can range from simple to complex. The good news is, with a
written agreement you have the following advantages:
1.        It clarifies the agreement
2.        It leaves less room for misunderstandings
3.        It provides tangible evidence of the intentions of the parties if there is a disagreement
4.        It is more likely to be enforced by a court
5.        It will summarize verbal agreements

The next page is a sample agreement outline for an artist. I will advise you to pay close attention to follow
clauses in reference to any contract.
1.        The Length/Term of the Agreement can be too long.
2.        The Royalty Rates and Calculations can be based on the retail price or the wholesale price, retail being
    far more favorable than wholesale for ease of calculation. However, calculation is more than deducting
    recording cost!
3.        Advances are early payments against royalties, but you should be aware how the advances may also be
    phrased as against "any other sums due under this agreement or any other agreement between the
    parties."
4.        Cross-Collateralization means if you are unsecured and have another agreement with the company, any
    amounts due to you under the other agreement may be used to recoup the un-recouped advances in the
    recording agreement.

This is why it is best to have a recording agreement examined on your behalf by an attorney regardless if you
are the artist or record label who is familiar with the music and record industry.

An Artist Recording Agreement should contain the following elements:
1.        ARTIST LEGAL NAME
2.        ARTIST SOCIAL SECURITY NUMBER
3.        ARTIST ADDRESS
4.        DATE OF AGREEMENT
5.        COMPANY NAME
6.        TERM OF AGREEMENT
7.         DEFINITION OF TERM
8.        COMPANY OPTIONS
9.        OPTIONS IN AGREEMENT
10.        PRODUCTION
11.        CONTRIBUTION BY ARTIST
12.        COSTS
13.        ARTISTIC CONTROL
14.        DATES AND LOCATION OF RECORDING SESSIONS
15.        ADDITIONAL MUSICIANS
16.        TITLE
17.        COMPLETION AND RELEASE
18.        ASSIGNMENT OF EXCLUSIVE RIGHTS BY ARTIST
19.        LICENSE FOR USE OF NAME AND IMAGE
20.        FORM OF ASSIGNMENT AND LICENSE DOCUMENTS
21.        COPYRIGHT
22.        DISTRIBUTION
23.        ROYALTIES
24.        PUBLISHING ORGANIZATION
25.        NON-CIRCUMVENTION
26.        ADDITIONAL PERSONAL SERVICES
27.        ARTIST OPTION TO PURCHASE
28.        ASSIGNMENT BY COMPANY
29.        ASSIGNMENT BY ARTIST
30.        CONDITION SUBSEQUENT
31.        RIGHT OF INSPECTION
32.        MISCELLANEOUS
33.        BINDING EFFECT
34.        ARBITRATION
35.        JURISDICTION/APPLICABLE LAW
36.        ATTORNEY'S FEES
37.        COVENANT OF GOOD FAITH AND FAIR DEALING
38.        INDEPENDENT CONTRACTOR
39.        INCORPORATION OF RECITALS
40.        NOTICES
41.        RECOUPABLE EXPENSES
42.        OBTAINING CDs TO SELL
43.        PAYMENT POLICIES & PROCEDURES
44.        RECORD LABEL’S RIGHTS
45.        DOMESTIC SALES
46.        INTERNATIONAL ROYALTIES
47.        MUTUAL COVENANTS
48.        ARTIST’S ORIGINAL COMPOSITION
49.        PRODUCER “HOLD HARMLESS AGREEMENT”
50.        WITNESSES TO THE AGREEMENT
51.        DATE CONTRACT SIGNED
52.        NOTARY PUBLIC SEAL

You should also add the following statement:

Realizing the music business is a “high risk” investment for any artist. The artist and producer agree and
warrant the artist is not in any way placing his family’s financial security in jeopardy, so as to artist is not in any
manner mortgaging his home, car, or business to obtain the money to record, and has not nor will he/she put
anyone in his immediate family in any type of financial hardship to pay for this presentation tape or recording
opportunity.

Artists also covenants with the aim of not basing his decision to record on any intangible or fraudulent promises,
dreams, or incentives given him by the producers, company, or management firm. It is the reality of the music
business to understand the artist is taking a chance at recording and may or may not ever be signed to a major
label in the future. This risk is understood up front and placed within the text of this agreement between the
parties so everyone concerned realizes the producers, management firm and record company have nothing but
the purest ethics in mind and everyone who enters into this joint-venture contract is taking a risk and putting up
something toward the goal of obtaining a major label contract for the artist. Artist agrees and warrants to hold
the producers, record company, and management company “completely & totally   harmless” from lawsuits,
litigation of any kind whatsoever might proceed from any misunderstandings spelled out or not spelled out in this
agreement. If such a disagreement happens, then both the artist and the producers have agreed in this contract
as mature adults to seek binding arbitration for their differences outside the bounds of a lawsuit and before a
group of people within the music community who understand the legal aspects of every facet of this document.

The artist understands and warrants no one can guarantee “superstardom” in the music industry and the reality
of the future is only a small percentage of the acts signed to the major labels, go on to become priority roster
acts and achieve superstardom. This recording contract embodies no more or no less than the contract implies,
in this production contract gives the artist a “presentation tape” of songs & compositions or “tools” to use in
achieving the goals he has set for himself in the music business.

The producers, management firm, record company and record company personnel will do their very best in
behalf of the artist, to promote further and assist him in any way possible during the terms of this agreement. It
is the desire of this company to present itself at the outset as a company which makes no attempts to guarantee
anything except the services it is bound to render in behalf of the artist through this contract. All the pricing and
various portions of this contract are within the boundaries and guidelines set for the players, background
vocalists, and companies who do ethical & legitimate production on music row. In short all fees are within
"reasonable" guidelines of the local music industry standards.

It is the goal of the record label to make a profit with the artist so each of the entities can continue to pursue
their music goals and accomplish more together than the individuals could ever accomplish by themselves. The
artist needs guidance and a record label, the record label needs artists on their roster to further their goals, and
the producers need compositions to produce in the studio with the players to fulfill their goals, and together the
partnership of.

Complements of JaHMa.net Written by; Kenneth Bosket

M.B.A.

Talk the talk; to
yourself.

Walk the talk; with
others.